SAHN.SW WACC - Weighted Average Cost of Capital
The WACC of Schaffner Holding AG (SAHN.SW) is 4.0%.
| Range | Selected | |
| Cost of equity | 3.2% - 4.9% | 4.05% |
| Tax rate | 19.6% - 30.3% | 24.95% |
| Cost of debt | 4.0% - 4.5% | 4.25% |
| WACC | 3.2% - 4.8% | 4.0% |
| Category | Low | High |
| Long-term bond rate | 1.0% | 1.5% |
| Equity market risk premium | 5.1% | 6.1% |
| Adjusted beta | 0.44 | 0.47 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 3.2% | 4.9% |
| Tax rate | 19.6% | 30.3% |
| Debt/Equity ratio | 0.03 | 0.03 |
| Cost of debt | 4.0% | 4.5% |
| After-tax WACC | 3.2% | 4.8% |
| Selected WACC | 4.0% | |
| Debt/Equity | Unlevered | |||
| Peers | Company Name | ratio | Beta | beta |
| SAHN.SW | Schaffner Holding AG | 0.03 | -1.25 | -1.21 |
| ACG1V.HE | Aspocomp Group Oyj | 0.2 | 0.27 | 0.24 |
| ALCOF.PA | Cofidur SA | 1.02 | 0.21 | 0.12 |
| EXC.DE | exceet Group SCA | 0 | -0.27 | -0.27 |
| GE.MI | Gefran SpA | 0.17 | 0.62 | 0.55 |
| IS7.DE | InTiCa Systems AG | 3.43 | 0.67 | 0.19 |
| KETL.L | Strix Group PLC | 0.86 | 0.98 | 0.6 |
| NCAB.ST | NCAB Group AB (publ) | 0.11 | 1.15 | 1.06 |
| SCE.DE | Schweizer Electronic AG | 2.04 | 0.45 | 0.18 |
| SOLI.L | Solid State PLC | 0.14 | 0.13 | 0.12 |
| Low | High | |
| Unlevered beta | 0.16 | 0.21 |
| Relevered beta | 0.16 | 0.21 |
| Adjusted relevered beta | 0.44 | 0.47 |
SAHN.SW's CAPM model and how its cost of Equity is calculated
The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.
This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.
Here’s how we figure out the cost of equity for SAHN.SW:
cost_of_equity (4.05%) = risk_free_rate (1.25%) + equity_risk_premium (5.60%) * adjusted_beta (0.44) + risk_adjustments (0.25%)
We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.